My Property Value Theory
In urban settings the root value of all property is its attractiveness to human use, which I call “people-productivity“. This is different from resource-productivity, which is the basis for rural land values. There are two major things that attract people in a macro level: natural conditions (good weather, beautiful scenery, etc) and [...]
Tuesday we took a look at the fundamental components of property values, at a macro level. In short, properties fall in two categories: resource-productive, and people-productive. Generally, if a property isn’t a farm or some kind of mine (or well) then it’s value is derived from it’s ability to attract human use. When humans use [...]
Continuing from my earlier post on Transportation Theory, today I wanted to take a look at property values, and what creates value in land. Again, these are my own words, but are drawn from the extensive graduate research I did as well as my professional experience as a real estate consultant.
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Two Kinds of Productivity
Fundamentally land [...]
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